Cy­to­ki­net­ics gets the Roy­al­ty treat­ment, snag­ging up to $450M to sup­port close­ly watched heart pro­grams

Cy­to­ki­net­ics stum­bled a bit with its close­ly watched lead heart drug over the last year or so, los­ing two phar­ma part­ners af­ter miss­ing a key sec­ondary end­point in a Phase III study. But things are look­ing up in 2022, as Roy­al­ty Phar­ma is reach­ing a lit­tle deep­er in­to its wal­let to bol­ster that pro­gram and an­oth­er heart can­di­date.

Roy­al­ty Phar­ma has agreed to lend up to $300 mil­lion to sup­port the po­ten­tial com­mer­cial­iza­tion of Cy­to­ki­net­ics’ lead can­di­date, ome­cam­tiv mecar­bil, and de­vel­op­ment of its oth­er heart pro­gram, afi­camten. The cash will come in five tranch­es, in­clud­ing an ini­tial tranche of $50 mil­lion up­on clos­ing and four oth­ers up­on cer­tain reg­u­la­to­ry and clin­i­cal mile­stones. Each tranche has an in­ter­est-free and pay­ment-free pe­ri­od of six cal­en­dar quar­ters, fol­lowed by 34 cal­en­dar quar­ters of in­stall­ment re-pay­ments to­tal­ing 1.9 times the amount drawn.

Endpoints News

Unlock this article instantly by becoming a free subscriber.

You’ll get access to free articles each month, plus you can customize what newsletters get delivered to your inbox each week, including breaking news.